Global economy risks recession

The International Monetary Fund has issued a stark warning that the U.S.-Israel war against Iran is threatening to throw the global economy off course.

Chief economists suggest that a prolonged closure of the Strait of Hormuz could lead to an unprecedented energy crisis and a significant decline in global GDP. While some markets have shown resilience, the real economy is facing severe pressure from rising fuel and fertilizer costs.

The IMF has modestly reduced its growth forecasts, noting that the risk of a major recession is increasing as diplomatic efforts remain stalled.